Adam Hewison Lays out 5 Market Calls for 2011

As we wind down 2010 it's no surprise that the Monday morning quarterbacks are coming out of the wood work. Everyone pundit, reporter or writer who considers themselves an “expert” comes out of their ivory towers and makes their annual market predictions for the New Year.

It’s time to kiss those predictions goodbye

I can honestly say that I wish I had a crystal ball like these other forecasters, but that’s not quite how the markets work. You see, markets don’t give a “Rats A**” about what forecasters say or what predictions economists make. The market is the only true voice out there. Think about that for a moment. How many predictions do you remember that were even close to being spot on a year in advance? I remember several forecasts for 2010 and most of them were far from accurate.

Does it make any sense to trade on a year end forecast, not knowing what can happen in this crazy world we live in? It doesn’t make any sense to me or to other professional traders who never trade based on year end predictions. So let’s get back to reality and take a look back on 2010 to see what the big trends are showing for 2011.

1. GOLD: Major Trade Triangles Bullish

Let’s start with everyone’s favorite market, gold. Gold is without question the most emotional market in the world. Investors and traders who are involved with this metal are passionate about its future and that can be a bad thing. Let me explain. Back in 1980 gold peaked around $850 an ounce. Had you purchased gold around that time, it would have taken approximately 30 years for gold to get above that level again. Call it the lost 3 decades.

Now the arguments are that the gold market should be trading well above $2,000 and that the central banks and governments are manipulating the price for their own advantage. Don’t believe it. There are also hundreds of other conspiracy theories that seem to pop up for this particular market. Like I said, it is a passionate and emotional market.

Here’s how I’m going to trade gold in 2011. In 2011, I’m going to rely on MarketClub’s “Trade Triangle” technology which has an excellent track record in gold. By taking a methodical approach and not guessing which way the wind is blowing, you have a far greater chance to close out 2011 with a big plus for the year.

I expect the gold trend will carry over from 2010 and then change somewhere along the line. This is the history of this market. One thing that I can be 100% certain of is that gold prices will fluctuate in 2011. That’s a guarantee!

2. CRUDE OIL: Major Trade Triangles Bullish

Next, let’s take a look at a market that impacts everyone’s pocket book, crude oil. Crude oil recently moved over $90 to two year highs and once again shook up excitement in this market. When looking at the fundamental market, we’re running out of oil, production continues to go down, and no new oil fields have been discovered in the last several years. The other fundamental story is that China and India are becoming more affluent and developing a middle class economy which will lead to increased oil consumption to power their newly purchased cars and scooters. This could all be true, however; it really doesn’t change the way you should be looking at the market. Once again, we are going to rely on MarketClub’s Trade Triangle technology, which has done a stellar job identifying trends in this market over the last few years.

So at the moment, the trend in crude oil is on the upside for 2011.

3. US DOLLAR INDEX: Major Trade Triangles Mixed to Negative

The other big market that everyone is talking about is the US dollar. You may or may not remember the doomsday forecasts in December of 2009 for the dollar. Quite the opposite occurred as the dollar enjoyed a spectacular rally for the next six months. That’s the whole point of this report; listen to the markets and ignore the predictions of the so called experts. Again, we will be relying on our Trade Triangle Technology and the technical approach to follow market trends in 2011.

4. GLOBAL STOCK MARKETS: Major Trade Triangles Bullish
I want to talk about the stock market, both in the US and overseas. One of the more interesting portfolios we created in 2010 was MarketClub’s “Global Strategy” portfolio that tracks five different countries. The MarketClub technique using the ETF markets has worked well for our members. We track the following five countries: Brazil, Russia, India, China and Australia. (This portfolio, which is available to all MarketClub members, can be seen here.) We also follow the ETF SPY as it tracks the S&P500. Once again, we use our Trade Triangle Technology to determine the trends in five ETFs.

5. COMMODITY MARKETS: Major Trade Triangles Bullish

Lastly, I want to talk about the commodity markets. You have no doubt heard or have seen that copper prices are at record highs, but you also have other markets that are jumping up and these are all anticipating both strong demand and are now in the beginnings of an inflationary spiral that we envisioned sometime back. Commodities are going to be very important in the future. Traders should be paying close attention to these markets and creating in a new portfolio manager with various commodity portfolios to track these lucrative markets. If you want to see how we have have performed in these markets you may want to take a look at MarketClub’s “World Cup” Portfolio. Since July of 2007, your money would have multiplied 786.16 %by June of 2010. That’s enough to turn $50,000 into $391,580.00 in just three years.

So maybe this is not as exciting or as hyped up as someone saying, “Here are my top five picks for 2011,” but it’s a way to make real money in 2011 and not without having to wing it like so many investors will be doing in the new year.

I think 2011 is going to offer some extraordinary opportunities in the markets listed above. Remember, in every crisis or every boom there are opportunities to make money. It’s when things are dull and boring that it becomes more difficult to produce the type of returns that we are looking for.

So what’s my number one tip for 2011? Watch and trade with the MarketClub’s Trade Triangle technology and ignore the hyped up new year predictions. Here’s wishing you every success in 2011.

Guest blogger Adam Hewison is the Co-founder of MarketClub/INO.com




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Let's Look at 2010 and What's Ahead For Us in 2011

No one can argue that 2010 was a fantastic year for traders. Yes there were some downs, with the economy and all, but trading wise it was outstanding!

I'm sure you've read an article or two that I've posted from Chris Vermeulen, but I have a little more unknown insight into his trading service and it's records...

This is his 2010 members only trading performance......its audited and 100% verified:

But there's something missing......

The last 5 closed trades and their results!
SPY 0.9%, Nov 12 - Nov 15
GLD 1.2%, Nov 4 - Nov 12
SPY 3.5%, Oct 27 - Nov 5
TBT 2.4%, Oct 21 - Nov 2
GLD (1.1%), Oct 19 - Oct 21

Second: He and his members currently have three open positions with the following gains.....

Open Position..........65%
Open Position..........28%,
Open Position............9%

Chris let me work a special set-up just for my members for 75% savings.....Just Click Here to check it out!



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New Video - After a Tough 2010, What's Next for Crude Oil Traders?

I doubt that many traders would argue that the crude oil market in 2010 proved to be a tough commodity sector to get any real feel for the trend and direction. 2010 just did not produce any discernible, lasting trend in the oil market. The trends it has produced have lasted little more than just 3 or 4 weeks at best.

So what's next for crude oil traders in 2010 and into 2011?

In today's short video we examine the fact that crude oil briefly traded over $90 a barrel before falling back. So what made the crude oil market reverse course and fall back? Was it selling, was it profit taking, a technical point, or something else? We are examining crude oil in detail using a tool that we think is very appropriate for this type of market at the moment.

We have not discussed this technical indicator in any of our previous videos and I think when you see how it works and how you can use it your own trading, you will be pretty impressed.

We still look at our "Trade Triangles" of course, but "Trade Triangles" tend to work best with markets that eventually get into big trends and that's really where you make your money.

If you have a few minutes and you'd like to learn about this new/old technical indicator that has generally been overlooked by many traders, you will find this video very interesting. This 30 year old indicator has proven to be very effective in this year's crude oil market so you don't want to miss this video.

As always our videos are free to watch and there are no registration requirements. Please take a moment to leave a comment and tell us what you think of the video and the direction of crude oil.

Watch "After a Tough 2010, What's Next for Crude Oil Traders?"



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Crude Oil Continues Climbing as Recovery Makes Most Accurate Forecasters Bullish

Oil’s biggest annual rally since 1999 is poised to continue with gains of at least 19 percent next year as the global economy recovers and OPEC curtails production, the most accurate crude forecasters say. Societe Generale SA’s Mike Wittner and Hannes Loacker at Raiffeisen Zentralbank Oesterreich AG, whose predictions this year that were within 9 percent of market levels, now say oil will average $92.50 and $88, respectively, in the fourth quarter of 2010, up from current prices of about $74 in New York. The median Wall Street estimate is for an increase to $83.

Oil is set to rise as China and India lead the world economy from its biggest economic shock since World War II, while the Organization of Petroleum Exporting Countries caps output, Wittner and Loacker said. Analysts say OPEC will keep supply targets unchanged at a meeting in Luanda, Angola, tomorrow, even as the International Energy Agency predicts fuel consumption will rise 1.7 percent next year. “With global demand growing and OPEC holding production flat, stockpiles are going to come down, and that’s bullish for prices,” said Wittner, 48, the head of oil market research at Societe Generale in London. Commodities will also benefit from the weak dollar and U.S. interest rates close to zero percent, he said.....Read the entire article.

Great Educational Video "Double Tops and Pivot Points Explained"

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Azlin Ahmad: Oil Demand in 2010

Azlin Ahmad, editor of crude oil at Argus Media, offers her take on what oil demand will be like in 2010, with CNBC's Chloe Cho & Rebecca Meehan.




Just click here for your FREE trend analysis of USO


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OPEC: World Oil Demand Growth to Continue Falling in 2009

The Organization of Petroleum Exporting Countries said Tuesday world oil demand growth is expected to continue falling this year as unemployment escalates in OECD countries and consumer sentiment remains constrained but demand could turn positive in 2010 reaching 84.3 million barrels per day. In its July report, OPEC said that "after two consecutive years of negative growth, global demand next year is projected to show a moderate increase of 500,000 barrels a day.....Complete Story